2 new features for the benefit of consumers. As a result of its extensive research and development efforts, Ericsson has been awarded more than thirty-five thousand patents worldwide. Many of Ericsson’s patents are essential to the 2G (GSM, GPRS, and EDGE), 3G (UMTS/WCDMA and HSPA), and/or 4G (LTE) telecommunication standards, all of which are used by Apple’s products. 3.
Ericsson has repeatedly committed to license its portfolio of patents that are essential to practice the 2G, 3G, and/or 4G LTE standards (“Essential Patents”) on terms that are fair, reasonable, and non-discriminatory (FRAND). Ericsson’s FRAND commitment is set forth in its intellectual property right (IPR) licensing declarations to the European Telecommunications Standards Institute (ETSI) in accordance with ETSI’s IPR Policy. Consistent with its FRAND commitment, Ericsson has widely licensed its portfolio of Essential Patents on a global basis in over one hundred agreements with members of the telecommunications industry who have agreed to pay royalties for a global portfolio license on FRAND terms to Ericsson. Ericsson reinvests much of the licensing revenue it receives under these global agreements into inventing future generations of standardized telecommunication technologies, spending around five billion dollars annually on research and development. 4.
The proliferation of smartphones, such as the iPhone, and their popularity, is based on the development of the 2G, 3G, and especially 4G LTE communication standards. Without LTE technology and Ericsson’s inventions incorporated therein, smartphones and other mobile devices would not be able to provide the constant on-the-go access to video, streaming media, and gaming that we are accustomed to today. Furthermore, the widespread adoption of large screen smartphones and corresponding
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